Finance
Low-doc and non-conforming loans
Loans for borrowers whose income or credit history does not fit standard bank policy, including regulated loans.
- Usually secured by
- Mortgage over residential or commercial property
- Usually repaid by
- Scheduled repayments, often with a later refinance
What it can cost to structure
Privet does not publish lender rates or fees. These are the cost items to ask every provider about, in writing. Add them together with the loan cost estimator.
- How interest is paid: monthly, added to the loan (capitalised) or deducted upfront (prepaid)
- Establishment fee, and whether it is deducted from the advance
- Valuation, legal and any broker fees
- Line or facility fees on undrawn limits
- Extension fees if the term needs to run longer
- Exit, discharge and early repayment charges
- Default interest and when it applies
Questions to ask any lender
- What is the total of all fees, and which are deducted from the advance?
- What default interest applies, and what triggers it?
- How are extensions decided and priced?
- Is the loan regulated consumer credit, and if not, what protections apply?
- Do you hold an Australian Credit Licence, and are you a member of AFCA?
- Where does your lending money come from?